Problems faced from government agency

Dear Client,

If a forged Power of Attorney was used to enter into a registered or notarized agreement, but the forgery was later discovered, the trustee refused to proceed, and the agreement was mutually cancelled before any asset transfer took place, the immediate risk from government agencies is generally low. However, forgery itself may still constitute a criminal offence, and mutual cancellation does not automatically erase that fact. If the document was registered, there will be an official record of the transaction, and authorities may seek clarification if it comes to their notice.

If it was only notarized, the transaction is generally less visible to government agencies. In the absence of any asset transfer, tax benefit, loss to any party, complaint, or investigation, there would usually be fewer practical consequences, though the possibility of future scrutiny cannot be completely ruled out if the forgery is later discovered.